Who Pays Title Fees in Englewood?
Title Fees in Englewood: What You Risk Losing
Quick Answer
In Englewood, failing to understand who pays title fees can lead to unexpected costs and potential deal collapse. Florida Statutes §627 governs title insurance, and Sarasota County customarily places the owner’s title insurance cost on the seller, while the buyer covers the lender’s policy. For a $300,000 home, this could mean an unexpected $2,075 out-of-pocket for title insurance. Discovering this late in the process can force a buyer to scramble for funds or risk losing their deposit. Call me at 941.400.8735 or reach out directly to Michael Renick – I’ll share my approach with you.
What Actually Breaks Deals in Florida
Title Insurance Confusion: Many buyers don’t realize that in Sarasota County, the seller typically pays for the owner’s title insurance, but the buyer is responsible for the lender’s policy. During underwriting, I’ve seen deals fall apart when buyers are suddenly asked to cover an $800 lender’s policy they weren’t prepared for. This misunderstanding can lead to last-minute financial strain and even contract termination.
My home buying experience with Mike and Eric continues to exceed my expectations, even long after the sale. Not only did they deal with me honestly and efficiently for the sale itself, their service didn’t stop there. They continue to keep an eye on my condo when I’m not there and have even referred rental clients to me, which has worked out very well! This is well beyond the norm in the real estate industry. Good, old fashioned service. I will be calling them again for my next purchase, for sure!
– ppugielli, Zillow Review
Condo Association Approvals: In Englewood, condo associations wield significant power. I’ve witnessed deals collapse when buyers fail to secure association approval due to pending assessments or insufficient reserves, often revealed during the estoppel process. This can result in a lost deposit and wasted time if discovered too late in the transaction.
Where It Usually Blows Up
The inspection period is a critical stage where many issues surface. Buyers often discover during this time that they need additional funds for unexpected costs like lender’s title insurance or condo association fees. This timing is brutal because it often coincides with the end of the due diligence period, leaving little room to renegotiate or back out without financial penalties. When these issues arise late, buyers risk losing their earnest money deposit and face the stress of renegotiating terms under pressure.
What I Tell Clients Before They Risk Money
- Understand Title Insurance: Know who pays for what in Sarasota County to avoid unexpected costs.
- Verify Condo Approvals: Ensure you meet all association requirements before the estoppel process.
- Check Insurance Binding: Confirm your insurance binder is secured well before closing.
- Review Inspection Reports: Address any issues immediately to avoid last-minute surprises.
- Clarify Financial Obligations: Know all your financial responsibilities upfront to prevent closing delays.
Let’s continue this conversation.
Call me at 941.400.8735 or schedule a 15-minute call. I’ll tell you what I would look for.
Call 941.400.8735 or Schedule a Call
Questions Clients Actually Ask
What happens if I can’t cover the lender’s title insurance fee?
If you can’t cover the lender’s title insurance fee, you risk delaying the closing or even losing the deal altogether. Lenders require this insurance to protect their investment, and failure to secure it can lead to a breach of contract.
We could not have been more pleased with Eric Teoh and Mike Renick during our search and recent purchase of our home on Longboat Key. These guys are a breath of fresh air in today’s business environment operating with “old school” business practices Should we require a realtor in the future we would certainly engage them again. Len & Ann Cincinnati, Ohio
– zuser20170122200015417, Zillow Review
How can condo association approvals affect my purchase?
Condo association approvals are crucial because they can halt your purchase if not secured. Associations may deny approval based on financial assessments or reserve shortfalls, which can lead to contract termination and loss of your deposit.
What To Do Right Now
Request a detailed breakdown of all title-related fees from your real estate agent or title company before making an offer. This will help you understand your financial obligations and prevent unexpected costs at closing.
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